Premier Energies, a prominent name in India’s renewable energy sector, is gearing up to launch its Initial Public Offering (IPO). This IPO is a strategic move aimed at raising capital to expand the company’s solar energy projects, thereby strengthening its foothold in the rapidly growing renewable energy industry.
The Premier Energies IPO is priced within a band of ₹427 to ₹450 per share. This price band sets the minimum and maximum price at which investors can acquire shares. The company anticipates raising a total of ₹1,300 crore through this offering. This amount will be divided into two segments: ₹950 crore from the issuance of new shares (fresh issue) and ₹350 crore through an Offer for Sale (OFS) by existing shareholders.
The IPO subscription will be open from Tuesday, August 27, to Thursday, August 29. Prior to the general subscription, shares will be allocated to anchor investors on Monday, August 26.
The IPO is designed to cater to various investor categories. Qualified Institutional Buyers (QIBs), such as mutual funds and banks, are allocated 50% of the shares. Non-Institutional Investors (NIIs), which include high-net-worth individuals, are set aside 15% of the shares. The remaining 35% is reserved for retail investors, who typically purchase smaller quantities. Additionally, employees of Premier Energies can acquire shares at a discounted rate of ₹22 per share, encouraging employee participation and ownership.
Founded in April 1995, Premier Energies has evolved into a significant player in India’s renewable energy landscape, particularly in solar energy. The company’s product portfolio includes solar cells, solar panels, and specialized modules like monofacial and bifacial panels. Beyond products, Premier Energies offers comprehensive services, including Engineering, Procurement, and Construction (EPC) services, as well as Operations and Maintenance (O&M) for solar power projects.
Once the subscription period closes, the basis of allotment will be finalized on Friday, August 30. This process determines how the shares will be distributed among investors based on demand. If the IPO is oversubscribed, which means more people want to buy shares than are available, the company will allocate shares proportionally.
Investors who do not receive shares will be refunded their application money. The refund process is set to begin on Monday, September 2, and shares will be credited to the demat accounts of successful allottees on the same day. This ensures that all transactions are completed smoothly and on time.
Prospective investors should carefully consider the IPO details, including the price band, allotment schedule, and investor categories, to make informed investment decisions.